California foreclosure "surge": Up 327% from '07 levels

[AZXD]

Uh... So what's this say about the average individual's economic future ??
I guess I should have expected this. We have more than a few Phoenix area homes (California Owner) that are sporadically vacant around town.
Ya just gotta look for the right neighborhoods.

California foreclosure "surge": Up 327% from '07 levels

The number of California homes lost to foreclosure in the first quarter surged 327% from year-ago levels -- reaching an average of more than 500 foreclosures per day -- DataQuick said in a report, warning that the widening foreclosure problem could "spread beyond the current categories of dicey mortgages, and into mainstream home loans."

From DataQuick's report on California foreclosures in the first three months of 2008: "Trustees Deeds recorded, or the actual loss of a home to foreclosure, totaled 47,171 during the first quarter. ... Last quarter's total rose 48.9 percent from 31,676 in the previous quarter, and jumped 327.6 percent from 11,032 in first quarter 2007." That translates into 517 foreclosures every day in the first quarter of 2008.

DataQuick president Marshall Prentice: "The main factor behind this foreclosure surge remains the decline in home values. Additionally, a lot of the 'loans-gone-wild' activity happened in late 2005 and 2006 and that's working its way through the system. The big 'if' right now is whether or not the economy is in recession. If it is, the foreclosure problem could spread beyond the current categories of dicey mortgages, and into mainstream home loans."

From The L.A. Times' Peter Hong: "Sinking home values and the collapse of flimsy mortgages sent a record number of California homes into the foreclosure process in the first three months of this year, a real estate information service reported today."

Default notices -- which mark the beginning of the foreclosure process -- increased sharply, but not as rapidly as outright foreclosures. From Bloomberg News: "California mortgage defaults more than doubled in the first quarter to the highest in 15 years as a drop in sales and prices prevented some homeowners from selling their properties to pay debt, DataQuick Information Systems said.

More: "Homeowners received 113,676 default notices in the first quarter, up 143 percent from a year ago, La Jolla, California- based DataQuick said today in a statement. The level was the highest since at least 1992, when DataQuick's statistics begin."

Despite well publicized federal efforts to reach out to homeowners in default, the odds that they will ultimately lose their homes appear to be increasing. DataQuick reports that, of the homeowners in default, "an estimated 32 percent emerge from the foreclosure process by bringing their payments current, refinancing, or selling the home and paying off what they owe. A year ago it was about 52 percent.:

Your thoughts? Comments? E-mail story tips to peter.viles@latimes.com
Photo Credit: Getty Images

[Dutter]

Good news for first time home buyers in CA.

If you can't prepared to make the payments....you shouldn't be buying that house.

This will all correct itself as long as the Government stays out of it.

[Dutter]

Originally Posted by Dutter

Good news for first time home buyers in CA.

If you can't prepared to make the payments....you shouldn't be buying that house.

This will all correct itself as long as the Government stays out of it.

Sorry...."are not" not "can't"

[bountyhunter]

California foreclosure "surge": Up 327% from '07 levels

If only the Iraq surge was going that strong, the guys would all be home by now.

The situation out here is grim, and it's not going to bottom out for about 12 - 18 months yet.

[bountyhunter]

Originally Posted by Dutter

Good news for first time home buyers in CA.

Assuming they still have jobs.

Originally Posted by Dutter

If you can't prepared (SIC) to make the payments....you shouldn't be buying that house..

How benevolent of you.... registered republican? Explain how people knew ahead of time they were going to lose their jobs.

Originally Posted by Dutter

This will all correct itself as long as the Government stays out of it.

Of course, be sure to throw in the "anti socialism" bash to place blame now for whatever happens next. God forbid the government try to intervene to keep families from becoming homeless and banks putting foreclosed homes on the block where vultures can scoop them up for ten cents on the dollar.

After all... that's the American way to get rich, right?

[afmo]

serves people right for getting qualified for loans based on teaser interest rates. anyone who honestly believed that their interest only loan was going to last for ever and their mortgage payment was going to be a couple hundred bucks forever gets what they deserve. Likewise, if you bought a house and thought you were going to flip it for profit real quick. thats the risk you take. tough titty said the kitty.

God forbid the government try to intervene to keep families from becoming homeless and banks putting foreclosed homes on the block where vultures can scoop them up for ten cents on the dollar.

since when is it the government's responsibility to nanny state people who bought **** they couldn't afford?

establish justice, insure domestic tranquility, provide for the common defense, promote the general welfare, and secure the blessings of liberty to ourselves and our posterity,

Where does it say "bail you out because you bought something you couldn't afford?"

Explain how people knew ahead of time they were going to lose their jobs.

and explain how you know now that all the people in forclosure lost their jobs. Unemployment in california is up less than 1% on the year. The majority of them can't make the payments because their interest only loans or ARM with balloon payment loans came around and they had to start paying the principal on them. Don't victimize people who make ****ty decisions.

[one-eyed-fatman]

Up 327% from '07 levels. Ya think they'll all move to mexico? Could solve a lot of America's problems. Commiefornia is such a troubled state.

[afmo]

Originally Posted by one-eyed-fatman

Up 327% from '07 levels. Ya think they'll all move to mexico? Could solve a lot of America's problems. Commiefornia is such a troubled state.

Meh...Southern California..Northern Mexico...same difference...

[AZXD]

Originally Posted by afmo

Meh...Southern California..Northern Mexico...same difference...

Press one for spanglish

[eric_t12]

327 percent eh?

seems about right, wish i could remember the numbers they gave for my state... they had an article about my town in the city newspaper, as well, but be danged if i can find that either...